Algorithmic trading is defined as buying and selling of stocks through a computer program in an automated manner. No manual user interference is required . Each algorithm can be said to be like an aggressive mutual fund. Start it and sit back. In India, algorithmic trading was legalised or...

Trading is often said to be a risky proposition. There is a lot of uncertainty and confusion among people who have just started trading with regards to whether they would be successful or not and also with regard to the process and methodology they need to follow for their trading...

Algorithmic trading is all about some simple mathematics. Any logic can be converted into a mathematical expression and orders are placed whenever the expression is TRUE or FALSE. The Logic is what people call an ALGORITHM. And as said in a post earlier, this is one of the methods...

The efficient market theory or the efficient market hypothesis, which fetched Eugene Fama, a Nobel Prize, says, that market efficiently incorporates all public information and that is the reason why you cannot beat the market because it has all the requisite data necessary. Giving a rudimentary introduction to...

Where a few microseconds can seem longer than a blink of an eye, that is how long it takes for the share market to make or break you. The evolution of stock exchange has changed the way we think about stocks and the way we trade them. As once...

How do I trade my first stock? In the previous post, you managed to open your trading account. Now comes the main question, how do I buy my first stock. You need to do some background study for this. How would you select a stock and how...

Basics of Backtesting Testing of any trading strategy is of utmost importance before trading it live. One needs to have a correct idea about the returns and risk the strategy holds for him. Backtesting is a process by which a strategy is tested on historical data and lets you...

There are some very basic thumb rules of trading before one should actually start. Knowing those rules is of prime importance as these help people take a more informed decision on aspects like the amount to be invested, what type of trading is suited to an individual and diversification....

How do I trade? Now for newbies, this is a that might lead to a deadlock. How do I trade? Where do I go? What is a stock, broker, DEMAT account, market regulator? How do I learn to trade? And many more. Here in this article, we would try...

In our last blog post, we gave an Introduction to Algorithmic Trading in simple terms. Taking the next step forward, let’s talk about its core components: Trading Strategy/Algorithm Backtesting System Execution System Trading Strategy/Algorithm: It is the logic behind buying and selling a stock. The time and price at...